ZSE hits trillion-dollar mark
The Zimbabwe Stock Exchange (ZSE) market capitalisation, hits the trillion-dollar mark on Tuesday as investors sought safe haven from a depreciating local currency and rising inflation. The ZSE clocked $1,014,010,844,294 by the close of trading yesterday, the first time it has hit that mark.
The ZSE’s value is now 215 percent higher than the year’s opening level of $318 billion.
In the last three days, more than $1,5 billion in turnover has been invested on the equities market signaling increased demand for stocks. The strong gains on the market come as the local currency has depreciated significantly on
the parallel market where the exchange rate is reportedly ranging between 170 and 180 to the greenback.
The solid gains also come after the inflation rate for September came out higher than that of August.
The September annual inflation rate moved up to 51,55 percent, from 50,25 percent in August.
The Consumer Price Index for September also moved up to 4,7 percent for September, higher than the 4,2 percent increase recorded in August. Investors tend to hedge against depreciation currency and rising inflation.-ebusinessweekly.co.zw
